Werge Law Appellate Win Awarding Attorneys’ Fees / by Thomas Werge

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Werge Law is excited to announce an appellate win on an issue of first impression, which resulted in an award of attorney fees in favor of our well-deserving client! Our client, a Florida startup, transacted business with a Colorado company to purchase equipment. When the equipment was delivered damaged and the supplier had failed to carry sufficient insurance, it attempted to negotiate a resolution. The supplier refused to provide new working equipment and refused to provide a refund. Without other recourse, our client returned the equipment and disputed the charge with the credit card company. To win the chargeback, as set forth in the complaint, the supplier falsified information provided to the credit card company.

Werge Law filed suit under the Colorado civil theft statute in the County Court for Jefferson County and obtained a default judgment against the supplier in the amount of $25,000. Werge Law then obtained a writ of execution and conducted a sheriff’s seizure of the supplier, collecting various personal property from the supplier’s manufacturing facility. In response, the supplier attempted to object for the first time to the default judgment. Following significant briefing, and a hearing before the court, the supplier’s request was denied and the judgment was upheld. Without appealing the ruling, the supplier then attempted to collaterally attack the judgment by filing a new independent equitable action in Jefferson County District Court. Werge Law was able to obtain dismissal of that case for failure to state a claim and is currently waiting for the entry of a judgment of additional attorney fees for its client in that matter.

Given that the supplier had refused to negotiate and instead chose to fight the judgment thoroughout, significant attorneys’ fees were incurred by Werge Law’s client in this matter. And after the County Court denied Werge Law’s motion for entry of attorneys’ fees under the civil theft act under the theory that fees incurred after the entry of judgment were not awardable under the statute, Werge Law appealed. The appeal was heard by the Chief Judge Pilkington of the Jefferson County District Court, who noted this was an issue of first impression under Colorado law, and then decided in favor of Werge Law’s client.

This win came with significant support from Werge Law’s amazing law clerk Matthew Forstie, who just-so-happens to be taking the Colorado bar examination this week. This fall he will be starting an amazing fellowship to do pro bono work for his first one-to-two years of practice of law.

We are pleased to have prevailed on behalf of our well-deserving client, who will now be able to obtain additional compensation for the losses incurred. Werge Law fights hard for its clients and seeks to obtain justice for wrongs done in the course of business.

LVAT Intl. LLC v. Zybek Sports LLC, No. 2021CV30198 (Colo. Dist. Jeffco, June 28, 2021) (Pilkington, C.J.).